Intel expects third-quarter revenue to miss expectations and will cut more than 15 percent of its workforce and suspend its dividend

​Intel said third-quarter revenue would fall well short of analysts' expectations and announced more than 15,000 job cuts. Intel shares fell 14 per cent after hours.

Bloomberg reports that Intel (INTC) expects revenue of $12.5 billion to $13.5 billion for the current quarter. Analysts on average had expected $14.38 billion, according to data compiled by Bloomberg. A loss of 3 cents per share, excluding special items, is expected, compared with earnings of 30 cents per share.

Intel said it plans to cut more than 15 percent of its workforce of about 110,000. The company will also suspend its dividend from the fourth quarter until "cash flow improves to sustainable higher levels," according to the statement.

Dave Zinsner, Intel's chief financial officer, said in an interview that revenue and financials had not met expectations and that "the reductions were necessary to get us to a more sustainable business model."

Intel earned 2 cents a share, excluding special items, on revenue of $12.8 billion, down 1 percent. Analysts had expected earnings of 10 cents per share on revenue of $12.95 billion.